Microsoft 365 Archive: file-level archiving public preview

Introduction We are introducing file-level archiving for Microsoft 365 Archive. This capability allows organizations to move individual SharePoint files or folders into low-cost archival storage while keeping them visible in their original location. This helps reduce storage costs and optimize content lifecycle management without losing metadata, permissions, or compliance coverage. This message is associated with Microsoft 365 Roadmap ID 477371. When this will happen Public Preview: Available now. General Availability (Worldwide): Rollout begins in late June 2026 and is expected to complete by late July 2026. How this affects your organization Who is affected SharePoint administrators Users in organizations that enable Microsoft 365 Archive and file-level archiving What will happen File-level archiving is not enabled by default. Admins must enable Microsoft 365 Archive and then enable file-level archiving. Users with Edit permissions can archive individual files or entire folders in SharePoint document libraries. Archived files:Remain in their original location with a visual indicator Retain metadata, permissions, and compliance coverage Cannot be opened until reactivated Reactivation behavior:Instant reactivation within 7 days of archiving After 7 days, reactivation may take up to 24 hours Archived files:Are excluded from Copilot responses Are hidden from default search results Storage and billing:Archived content is billed using Pay-As-You-Go pricing Storage costs are approximately 75% lower than active storage Charges apply to storage exceeding the SharePoint tenant quota Admin capabilities:Enable or disable file-level archiving at tenant or site level Control default behavior for new sites Monitor usage via PowerShell (FileArchiveStorage metrics) All archive and reactivation actions are logged in the Microsoft 365 audit log. What you can do to prepare Enable Microsoft 365 Archive in the Microsoft 365 admin center (if not already enabled). Configure file-level archiving:Verify tenant-level status: Run Get-SPOTenant and confirm AllowFileArchive is set to True Enable or disable file-level archive for specific sites: Set-SPOSite -Identity <URL> -AllowFileArchive True/False Control the default for newly created sites: Set-SPOTenant -AllowFileArchiveByDefault True/False Monitor usage: Run Get-SPOTenant and Get-SPOSite to view FileArchiveStorage (GB) Review which sites should allow file-level archiving and configure accordingly Inform site owners and end users about:How archiving works Reactivation timing differences Search and Copilot behavior changes Learn more: Manage file-level archive (preview) - Manage Microsoft 365 Archive | Microsoft 365 Archive | Microsoft Learn Compliance considerations Question Answer Does the change store new customer data? Yes. Data is moved to archive storage (lower-cost tier) but remains within Microsoft 365. Does the change alter how existing customer data is processed, stored, or accessed? Yes. Files are moved to archive storage where content is not directly accessible until reactivated. Does the change modify Audit logging capabilities? Yes. Archive and reactivation events are recorded in the Microsoft 365 audit log. Does the change alter how admins can monitor/report compliance? Yes. Admins gain visibility into archive storage usage via PowerShell metrics. Does the change include an admin control? Yes. Admins can enable/disable at tenant and site level via PowerShell. Does the change allow a user to enable/disable the feature? Yes. Users with edit permissions can choose to archive/unarchive files.